Is it the responsibility of engineering colleges to prepare students for jobs?

Many Indian IT CEOs have been saying this  - fresh graduates produced by engineering colleges aren't fit for hiring.

Of course, such public statements by the key people in the industry often sparks debates about how the education system is to blame. But no one really tries to address an important question.

Is it the responsibility of the engineering colleges to prepare students for the industry jobs? 

What do you think?